Foot Locker to invest $100 mn in footwear marketplace Goat

February 12, 2019 - United States Of America

Foot Locker, Inc will be making a $100 million investment through its subsidiary in 1661, Inc also known as Goat, a managed marketplace for authentic sneakers operating the Goat and Flight Club brands (Goat Group). Over time, Foot Locker and Goat Group will combine efforts across digital and physical retail platforms to create exclusive customer experiences.

The power of Foot Locker’s global footprint and Goat Group’s digital capabilities will enable the two companies to provide an unmatched experience and elevate customer engagement across the entire sneaker industry. The investment is also expected to help accelerate Goat Group’s global operations, expanding its omnichannel experience and innovative technologies, Foot Locker said in a press release.

Scott Martin, Foot Locker’s senior vice president – strategy and store development, will join Goat Group’s board of directors. This announcement follows Foot Locker’s recent investments in innovative, digital-first companies including leading women’s luxury activewear brand Carbon38, tactical play and children’s lifestyle brand Super Heroic, and footwear design academy Pensole. Foot Locker’s investment will bring the total amount raised by Goat Group to $197.6 million since it was founded in 2015.

“At Foot Locker we are constantly looking at new ways to elevate our customer experience and bring sneaker and youth culture to people around the world,” said Richard Johnson, Foot Locker’s chairman and chief executive officer. “We are excited to leverage Goat Group’s technology to further innovate the sneaker buying experience and utilise their best-in-class online marketplace to help meet the ever-growing global demand for the latest product. Together, Foot Locker and Goat Group’s shared commitment to trust and authenticity in the sneaker industry will provide consumers with unparalleled experiences and diversified offerings.”

“In 2015, we pioneered the ship-to-verify model with a mission to bring a seamless and safe customer experience to the secondary sneaker market,” said Eddy Lu, co-founder and chief executive officer of Goat Group. “With over 3,000 retail locations, Foot Locker will support our primarily digital presence with physical access points worldwide, bringing more value to our community of buyers and sellers. Having Foot Locker as a strategic partner will also expand our business as we continue to scale our operations both domestically and internationally.” (PC)